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United Airlines settles fraud case over Postal Service contract for $49M

United Airlines is paying criminal and civil penalties for falsifying information for work done flying mail for the USPS. ( More...

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Ed Chapman 25
A good friend of mine says that a company willing to defraud employees Billions in pensions probably thinks defrauding the Post Office and paying a 49 Million dollar fine is chump change.......
Phil Howry 14
This disappointing news highlights the level of decline in the moral and ethical character of American businesses. What happened to the idea of simply abiding by the terms and conditions of a bilateral agreement (i.e. simply doing what you agreed to do)?

I want to believe this generation of corporate America has a percentage of individuals with enough character and personal integrity to speak up against obvious wrongdoing. If a person doesn't stand for something they'll fall for anything.

Has America's business and graduate schools stopped teach standard business integrity, morals and ethics? There is a universal ethical standard of behavior that facilities orderliness in the daily operation of business specifically and society in general.
wiregold 3
Corporate corruption mirrors governmental corruption.
Springsteen walked on his DUI after Jeep complained they would lose millions they had invested in commercials of The Boss driving their crappy vehicle.
21voyageur 2
So they are both corrupt. Next.
npog99 1
I left business school in the last year because I could no longer accept the lack of ethics taught in the program. The one and only course that touched on the subject matter had less than two pages of ethics in its textbook. So... No. They don't teach ethics any more.
21voyageur 1
I agree however running an airline means working with slim margins and (apparently) that leads to the need to perform such illegal acts. Absolutely not saying it is right however it may explain why. Are executive bonuses tied to performance? You bet, perhaps another contributor to such illegal acts. Corporate crime = slap on the wrist.

[This comment has been downvoted. Show anyway.]

Phil Howry 4
Your logic is interesting, but if your reasoning is valid, how do you “judge” businesses like Nike, Apple, the NBA etc., etc., who “make a profit” off the indentured servitude system in China.

Why can’t we mandate an American business standard, both foreign and domestic, of treating others the way we would like to be treated?
21voyageur 0
Good idea, something to consider when America finds its own moral compass.
Jesse Carroll 1
You Betcha Libtard!
James Church 10
Fines mean nothing to large corporations, a cost of doing business. I wonder if anyone went to prison?
srobak 9
They should. You or I would if we committed any sort of mail fraud or crime against the postal service.
jptq63 14
I personally do not want to fly an aircraft worked on by a person (or people) who are criminally known for fraudulent activities; my life depends upon it. The criminal activity taints the entire company and what the company does to address it either builds or destroys trust.

I do note from article -- In United’s favor was the fact that it cooperated with the investigation, removed the principal manager who led the criminal scheme and hired outside counsel and advisers to establish a compliance program with regular employee training. – What makes me worried what about all the other people (For 3 years I doubt the “principal manager” could be the only person to scan all the codes and file the paper work as such) involved; United (or any airline / company aviation related) needs to ID ALL the people known whom may have been involved. NOT saying anyone of those people were involved (thinking more management type folks especially here, they tend to take new roles in the company), but unfortunately, every one of those people now need greater scrutiny. No matter how much additional training provided, screw-ups happen, they happen more often when you do not follow the instructions or rules, and I doubt a criminal tends to care much about rules for others....
It goes to character. The first FA that ever yelled at me was a United FA, and she was having a bad day, and wanted to make sure everyone else knew it.

And I sat in a seat in 777 1st class seat for 7 hours that had no adjustment at all. Beats the guy two rows back, He had no seat belt and it was a full flight. Oops... (I thought seat belts were required for passengers?)
srobak 4
They are. I was denied boarding because of a broken seatbelt on United which was full. I made a little bit of a fuss not much and boom - 1k in flight vouchers. Ok.
Chris Miller 1
How does one become criminally known? Such as in breach of court order? The article makes no such mention of this.
carste10 5
Just in case you haven't noticed, UPS, FEDEX, and the postal service have been doing something similar. How many times have you been notified that your pkg has been "delivered" only to have it show up the next couple of days. Especially with 2 day guaranteed delivery?
Bandrunner 1
Exactly, and this goes some way to explaining the odd delays I see in tracking, with parcels mysteriously sitting idle in a depot for days. I know there are genuine hold-ups, but sometimes it doesn't feel quite right.
Fortunately, none of them were urgent or crucial, but it rankles a bit.
Jesse Carroll 1
I get 3-4 "Your Package has been delivered"notices daily! Problem here is because I hadn't ordered anything!
How do you spell....SCAMMMMMMMMMMers
Jim Allen 4
Doesn’t surprise me in the least. How many times have you gotten notification of a USPS delivery only to have it show up a couple of days later? I can recall at least 4.... and I’m just a homeowner... not a company. Mishaps do occur and I’ll account for that... but seriously? I called once and they said something like “each package has a GPS time stamp when delivered”. Really?
srobak 1
Actually anything that has tracking in it (not all do - customer choice) does record gps coords at destination delivery scan so they can identify precisely where it was delivered.
Tim Lyke 1
GPS is based on the vehicle and scanner but not the package itself - I had to sign up for USPS notifications to confirm what should be delivered so I can report when it doesn’t arrive - as Jim said, it was happening far to often.
srobak 1
the scanner log is what I was referring to.
Are they going to use their “bailout” (tax) money to pay these penalties?
No, probably insurance.
United should have been permanently shut down after the Dr. Dau incident. I immediately closed out my FF account and branded credit card. Now? Really? NO ONE should use this so called "airline" for anything. JUST SHUT IT DOWN!
Peter Fuller 5
So it appears that, per the contract with the USPS, United Airlines, not the postal service or some third party, had to produce the “data” that showed it met the terms of the contract. Sounds a bit like letting the fox self-certify that he stayed out of the chicken coop! The USPS needs to write better contracts.

In any case, doesn’t look like United flight crews, dispatchers, or maintenance were involved, so not a safety-of-flight issue.
Eric Kulisch 6
American, and i think Delta, did the same thing.
Jeff Smith 1
You think? All you got?
Everyone seems to be kicking the USPS around these days. United should be barred from ever carrying mail again. If the USPS system dies, we will be in a world of hurt.
Randy Marco -3
No not everyone... just the Repugnant's who have been trying for YEARS to eliminate the postal service so it can be PRIVATIZED.... you know unbridled capitalism is just unbridled GREED!
strickerje 2
Does the childish name-calling really add anything to the discussion? This used to be a professional-oriented forum...
Jesse Carroll 0
Yes it was! However, it's gone too political with the WOKE and Cancel Culture, Liberals etc:
Mark Stewart 2
They should never use them again.
Julie Paulson 2
it's things like this happening that makes the postal service look inept. People blame the postal service for poor delivery times when they have to rely on other companies to fly their mail and end up losing business because of that companies doings.. Why don't so many companies have ethics and standards? It affects every industry
it's the American way
21voyageur 0
Now THAT statement speaks volumes.

[This comment was deleted.]

Peter Berner 4
you are an idiot.let people that have something intelligent to say or contribute add ther voice here.
Jesse Carroll 1
I'm sorry, he meant to say "undocumented worker" I'm sure some of the thousands crossing the Texas Border would love the job/jobs!
Randy Marco 3
No you just are demonstrating your ignorance.
21voyageur 0
Let's remember that it is not illegals that caused the fraud. Old greedy white guys I am guessing gave the direction.


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